Kansas 2023-2024 Regular Session

Kansas House Bill HB2834 Compare Versions

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1	1	Session of 2024
2	2	HOUSE BILL No. 2834
3	3	By Committee on Appropriations
4	4	Requested by Representative Sutton
5	5	3-12
6	6	AN ACT concerning the state health care benefits program; transferring
7	7	officers, employees, powers, duties and functions relating to such
8	8	program from the division of the state employee health benefits plan of
9	9	the department of administration to the insurance department;
10	10	establishing the commissioner of insurance as the chairperson of the
11	11	Kansas state employees health care commission; providing that all
12	12	management functions of such commission shall be administered by the
13	13	commissioner of insurance; eliminating a pilot program regarding
14	14	employer contributions for certain children; amending K.S.A. 75-6503
15	15	and K.S.A. 2023 Supp. 75-37,169 and 75-6502 and repealing the
16	16	existing sections; also repealing K.S.A. 75-6506a and K.S.A. 2023
17	17	Supp. 75-37,162, 75-37,163, 75-37,164, 75-37,165, 75-37,166, 75-
18	18	37,167 and 75-37,168.
19	19	Be it enacted by the Legislature of the State of Kansas:
20	20	New Section 1. All powers, duties and functions of the staff of the
21	21	division of the state employee health plan of the department of
22	22	administration established in K.S.A. 75-6501 et seq. and 75-7405(c)(7),
23	23	and amendments thereto, and any other statute involving the
24	24	administration of the state health care benefits program are hereby
25	25	transferred to and imposed upon the insurance department under the
26	26	direction of the commissioner of insurance.
27	27	New Sec. 2. (a) All officers and employees of the division of the state
28	28	employee health benefits plan of the department of administration who,
29	29	immediately prior to July 1, 2024, are engaged in the exercise and
30	30	performance of the powers, duties and functions involving the
31	31	administration of the state employee health benefits plan, as well as all
32	32	officers and employees of the department of administration who are
33	33	determined by the commissioner of insurance to be engaged in providing
34	34	administrative, technical or other support services that are essential to the
35	35	exercise and performance of the powers, duties and functions transferred
36	36	by section 1, and amendments thereto, are hereby transferred to the
37	37	insurance department. All classified officers and employees so transferred
38	38	shall retain their status as classified employees.
39	39	(b) Officers and employees of the division of the state employee
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75	75	health benefits plan of the department of administration transferred by this
76	76	section shall retain all retirement benefits and leave balances and rights
77	77	that had accrued or vested prior to the date of transfer. The service of each
78	78	such officer and employee so transferred shall be deemed to have been
79	79	continuous. Any subsequent transfers, layoffs or abolition of classified
80	80	service positions under the Kansas civil service act shall be made in
81	81	accordance with the civil service laws and any rules and regulations
82	82	adopted thereunder. Nothing in this section shall affect the classified status
83	83	of any transferred person employed by the division of the state employee
84	84	health benefits plan of the department of administration prior to the date of
85	85	transfer.
86	86	(c) Notwithstanding the effective date of this section, the provisions
87	87	of this section prescribing the transfer of officers and employees from the
88	88	division of the state employee health benefits plan of the department of
89	89	administration to the insurance department shall commence at the start of a
90	90	payroll period.
91	91	New Sec. 3. (a) The insurance department shall be the successor in
92	92	every way to the powers, duties and functions of the division of the state
93	93	employee health benefits plan of the department of administration
94	94	involving the administration of the state health care benefits program that
95	95	were vested pursuant to K.S.A. 75-37,162 through 75-37,168, prior to their
96	96	repeal.
97	97	(b) Every act performed in the exercise of such transferred powers,
98	98	duties and functions by or under the authority of the insurance department
99	99	and the commissioner of insurance involving the administration of the
100	100	state health care benefits program shall be deemed to have the same force
101	101	and effect as if performed by the division of the state employee health
102	102	benefits plan, the secretary of administration or the director of the state
103	103	employees health benefits plan in which the same were vested pursuant to
104	104	K.S.A. 75-37,162 through 75-37,168, prior to their repeal.
105	105	(c) Whenever the division of the state employee health benefits plan
106	106	of the department of administration or words of like effect are referred to
107	107	or designated by a statute, contract, memorandum of agreement or other
108	108	document and such reference is in regard to any of the powers, duties and
109	109	functions transferred to the insurance department pursuant to section 1,
110	110	and amendments thereto, such reference or designation shall be deemed to
111	111	apply to the insurance department.
112	112	(d) All rules and regulations, orders and directives of the division of
113	113	the state employee health benefits plan of the department of administration
114	114	that relate to the powers, duties and functions transferred by section 1, and
115	115	amendments thereto, and are in effect on July 1, 2024, shall continue to be
116	116	effective and shall be deemed to be rules and and regulations, orders and
117	117	directives of the commissioner of insurance until revised, amended,
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161	161	repealed or nullified pursuant to law.
162	162	New Sec. 4. (a) The balances of all funds or accounts thereof
163	163	appropriated or reappropriated for the division of the state employee health
164	164	benefits plan of the department of administration relating to the powers,
165	165	duties and functions involving the administration of the state health care
166	166	benefits program are hereby transferred within the state treasury to the
167	167	insurance department and shall be used only for the purpose for which the
168	168	appropriation or reappropriation was originally made.
169	169	(b) Liability for all accrued compensation or salaries of officers and
170	170	employees who are transferred to the insurance department pursuant to
171	171	section 2, and amendments thereto, shall be assumed and paid by the
172	172	insurance department.
173	173	New Sec. 5. (a) The insurance department shall succeed to all
174	174	property, property rights, contracts and records that were used for or
175	175	pertain to the performance of powers, duties and functions involving the
176	176	administration of the state health care benefits program that were
177	177	transferred to the division of the state employee health benefits plan of the
178	178	department of administration pursuant to K.S.A. 75-37,162 through 75-
179	179	37,168, prior to their repeal.
180	180	(b) When any conflict arises as to the disposition of any personnel,
181	181	property, property right, contract, record, power, duty, function or the
182	182	unexpended balance of any appropriation as result of any transfer made by
183	183	or under the provisions of sections 1 through 5, and amendments thereto,
184	184	such conflict shall be resolved by the commissioner of insurance, whose
185	185	decision shall be final.
186	186	New Sec. 6. (a) No suit, action or other proceeding, judicial or
187	187	administrative, lawfully commenced, or that could have been commenced,
188	188	by or against the division of the state employee health benefits plan of the
189	189	department of administration or by or against the secretary of
190	190	administration in such secretary's official duties, shall abate by reason of
191	191	the transfer effected under the provisions of sections 1 through 5, and
192	192	amendments thereto. The court may allow any such suit, action or other
193	193	proceeding to be maintained by or against the insurance department or the
194	194	commissioner of insurance.
195	195	(b) No criminal action commenced or that could have been
196	196	commenced by the state shall abate by reason of the transfer effected under
197	197	the provisions of sections 1 through 5, and amendments thereto.
198	198	Sec. 7. K.S.A. 2023 Supp. 75-37,169 is hereby amended to read as
199	199	follows: 75-37,169. (a) All powers, duties and functions of the staff of the
200	200	department of health and environment established in K.S.A. 44-575
201	201	through 44-580, and amendments thereto, involving the administration of
202	202	the state workers compensation self-insurance fund are hereby transferred
203	203	to and imposed upon the department of administration, under the direction
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247	247	of the secretary of administration, and its division of the state employee
248	248	health benefits plan, under the direction of the director of the state
249	249	employee health benefits plan.
250	250	(b) The secretary of administration shall administer the state workers
251	251	compensation self-insurance fund and all payments from such fund shall
252	252	be upon warrants of the director of accounts and reports issued pursuant to
253	253	vouchers approved by the secretary of administration or a person or
254	254	persons designated by the secretary. The director of accounts and reports
255	255	may issue warrants pursuant to vouchers approved by the secretary for
256	256	payments from the state workers compensation self-insurance fund not-
257	257	withstanding the fact that claims for such payments were not submitted or
258	258	processed for payment from money appropriated for the fiscal year in
259	259	which the state workers compensation self-insurance fund first became
260	260	liable to make such payments.
261	261	(c) The secretary of administration shall remit all moneys received by
262	262	or for the secretary in the capacity as administrator of the state workers
263	263	compensation self-insurance fund, to the state treasurer in accordance with
264	264	the provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt
265	265	of each such remittance, the state treasurer shall deposit the entire amount
266	266	in the state treasury to the credit of the state workers compensation self-
267	267	insurance fund.
268	268	(d) The balances of all funds or accounts thereof appropriated or re-
269	269	appropriated for the division of health care finance of the department of
270	270	health and environment or any state agency, department, board,
271	271	commission or council, relating to the powers, duties and functions
272	272	involving the administration of the state workers compensation self-
273	273	insurance fund are hereby transferred within the state treasury to the
274	274	department of administration for the division of the state employee health
275	275	benefits plan and shall be used only for the purpose for which the
276	276	appropriation was originally made. Liability for all accrued compensation
277	277	or salaries of officers and employees who are transferred to the department
278	278	of administration and the division of the state employee health benefits
279	279	plan pursuant to this order shall be assumed and paid by the division of the
280	280	state employee health benefits plan of the department of administration.
281	281	(e) There is hereby established the state workplace health and safety
282	282	program within the state workers compensation self-insurance program of
283	283	the department of administration. The secretary of administration shall
284	284	implement and the division of industrial health and safety of the Kansas
285	285	department of labor shall assist in administering the state workplace health
286	286	and safety program for state agencies. The state workplace health and
287	287	safety program shall include, but not be limited to:
288	288	(1) Workplace health and safety hazard surveys in all state agencies,
289	289	including onsite interviews with employees;
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333	333	(2) workplace health and safety hazard prevention services, including
334	334	inspection and consultation services;
335	335	(3) procedures for identifying and controlling workplace hazards;
336	336	(4) development and dissemination of health and safety informational
337	337	materials, plans, rules and work procedures; and
338	338	(5) training for supervisors and employees in healthful and safe work
339	339	practices.
340	340	(f) Except as provided in this order, the secretary of administration
341	341	shall be the successor in every way to the powers, duties and functions of
342	342	the secretary of health and environment that relate to the state workers
343	343	compensation self-insurance fund, in which the same were vested prior to
344	344	the effective date of this order.
345	345	(g) All orders and directives of the secretary of health and
346	346	environment that relate to the state workers compensation self-insurance
347	347	fund in existence immediately prior to the effective date of this order shall
348	348	continue to be effective and shall be deemed to be the orders or directives
349	349	of the secretary of administration, until revised, amended, repealed or
350	350	nullified pursuant to law.
351	351	(h) The secretary of administration shall succeed to all property,
352	352	property rights, contracts and records that were used for or pertain to the
353	353	performance of the powers, duties and functions transferred to the
354	354	secretary of administration from the division of the state workers
355	355	compensation self-insurance fund of the department of health and
356	356	environment pursuant to this order. Any conflicts as to the proper
357	357	disposition of property, property rights, contracts and records arising under
358	358	this section shall be resolved by the governor, whose decision shall be
359	359	final.
360	360	(i) All officers and employees of the division of the state workers
361	361	compensation self-insurance fund of the department of health and
362	362	environment who, immediately prior to the effective date of this order, are
363	363	engaged in the exercise and performance of the powers, duties and
364	364	functions involving the administration of the state workers compensation
365	365	self-insurance fund and transferred by this order, as well as all officers and
366	366	employees of the department of health and environment who are
367	367	determined by the secretary of administration to be engaged in providing
368	368	administrative, technical or other support services that are essential to the
369	369	exercise and performance of the powers, duties and functions transferred
370	370	by this order, are hereby transferred to the department of administration,
371	371	under the direction of the secretary of administration, and its division of
372	372	the state employee health benefits plan. All classified officers and
373	373	employees so transferred shall retain their status as classified employees.
374	374	(j) Officers and employees of the division of the state workers
375	375	compensation self-insurance fund of the department of health and
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419	419	environment transferred by this order shall retain all retirement benefits
420	420	and leave balances and rights that had accrued or vested prior to the date
421	421	of transfer. The service of each such officer or employee so transferred
422	422	shall be deemed to have been continuous. Any subsequent transfers,
423	423	layoffs or abolition of classified service positions under the Kansas civil
424	424	service act shall be made in accordance with the civil service laws and any
425	425	rules and regulations adopted thereunder. Nothing in this order shall affect
426	426	the classified status of any transferred person employed by the division of
427	427	the state workers compensation self-insurance fund of the department of
428	428	health and environment prior to the date of transfer.
429	429	Sec. 8. K.S.A. 2023 Supp. 75-6502 is hereby amended to read as
430	430	follows: 75-6502. (a) There is hereby established the Kansas state
431	431	employees health care commission which is composed of seven members
432	432	as follows: (1) The commissioner of insurance; (2) the secretary of
433	433	administration; (3) a current state employee who is currently enrolled in
434	434	the state healthcare benefits program group health insurance medical plan,
435	435	appointed by the governor; (4) a person who retired from a position in
436	436	state service and who is currently enrolled in the state healthcare benefits
437	437	program group health insurance medical plan, appointed by the governor;
438	438	(5) a representative of the general public, appointed by the governor; (6) a
439	439	member of the senate ways and means committee, appointed by the
440	440	president of the senate; and (7) a member of the house of representatives
441	441	appropriations committee, appointed by the speaker of the house of
442	442	representatives. A state officer or employee may not be appointed as the
443	443	member representative of the general public.
444	444	(b) Each member appointed under this section by the governor shall
445	445	serve at the pleasure of the governor. The member appointed by the
446	446	president of the senate shall serve at the pleasure of the president of the
447	447	senate, and the member appointed by the speaker of the house of
448	448	representatives shall serve at the pleasure of the speaker of the house of
449	449	representatives. Not more than five members of the commission shall be
450	450	members of the same political party.
451	451	(c) The chairperson of the commission shall be designated by the
452	452	governor commissioner of insurance. The commission shall meet at least
453	453	once each calendar quarter and at such other times as may be required on
454	454	call of the chairperson or any three members thereof.
455	455	(d) A quorum of the Kansas state employees health care commission
456	456	shall be four. All actions of the commission shall be taken by a majority of
457	457	all of the members of the commission.
458	458	(e) Members of the Kansas state employees health care commission
459	459	attending meetings of such commission, or attending a subcommittee
460	460	meeting thereof authorized by such commission, shall be paid
461	461	compensation, subsistence allowances, mileage and other expenses as
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505	505	provided in K.S.A. 75-3223, and amendments thereto.
506	506	Sec. 9. K.S.A. 75-6503 is hereby amended to read as follows: 75-
507	507	6503. (a) Except as otherwise provided by this act, all budgeting,
508	508	purchasing and related management functions of the Kansas state
509	509	employees health care commission shall be administered by the secretary
510	510	of administration under the direction and supervision of the chairperson of
511	511	the commission commissioner of insurance. All vouchers for expenditures
512	512	and all payrolls of the Kansas state employees health care commission
513	513	shall be approved by the chairperson of the commission or by a person or
514	514	persons designated by the chairperson.
515	515	(b) There is hereby created the position of technical administrator for
516	516	the state health care benefit program. Under the direction and supervision
517	517	of the secretary of administration commissioner of insurance, the technical
518	518	administrator shall provide primary staffing assistance to the commission
519	519	and perform such other functions and duties as may be prescribed by the
520	520	commission. The technical administrator shall be in the classified or
521	521	unclassified service under the Kansas civil service act as specified by the
522	522	secretary of administration and shall be appointed by the secretary of
523	523	administration commissioner of insurance. Within the limits of available
524	524	appropriations, the secretary of administration commissioner of insurance
525	525	shall provide such additional assistance as may be requested by the
526	526	commission.
527	527	Sec. 10. K.S.A. 75-6503 and 75-6506a and K.S.A. 2023 Supp. 75-
528	528	37,162, 75-37,163, 75-37,164, 75-37,165, 75-37,166, 75-37,167, 75-
529	529	37,168, 75-37,169 and 75-6502 are hereby repealed.
530	530	Sec. 11. This act shall take effect and be in force from and after its
531	531	publication in the statute book.
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